Thomas Farrell Human Resources Services 0 Comments

Mentioning the word co-employment may not be the first thing you want to talk to your employees about when you are thinking of enlisting the help of an HR services company, such as a PEO. The word has a tendency to be misinterpreted and even feared as skeptical entrepreneurs and their employees try to grapple with what something like co-employment means to them in their daily lives.


First of all, what exactly is co-employment? Of course the word itself defines it as employed by more than one entity, but what are you really getting your employees into? How do you explain why you decided to join forces with a PEO and co-employ them? What do you tell your employees when you meet with them to discuss the changes that will inevitably occur with how they are paid and what kinds of benefits they will have?


Before anyone gets rattled, there are 4 important facts to mention to your employees about co-employment that will save you from endless emails and closed door one-to-one meetings to discuss misconceptions and fears about what is occurring.


Common Co-Employment Worries That Need To Be Calmed


You are not getting a new boss -It might be a big fear that co-employment means more managers to deal with, but as far as the job performance and daily functions of a business are concerned, that will still squarely fall on the business owner and the same managers your employees have right now.


No one is swooping in to make any staff changes once you sign your contract paperwork and your employees will need to know that. More often than not, small business owners are getting help with HR management through a PEO in order to avoid layoffs, not incur them. Once your employees know these key factors with management, they will relax and listen to your points on why a PEO is good for them and why it needs to happen now.


Their benefits will improve not diminish -Most small business employees are not working at your company for the amazing benefits. Your employees believe in your vision and like working for you towards the greater goal. Unfortunately, for many small business employees, that means they have either had to deal with paltry benefits or in some cases none at all. This is an unfortunate side effect that many of employees in this situation have had to deal with. Add in a new benefits program with company they’ve never heard of and you might hear a lot of rumbling in the room when you start to talk about PEO benefits.


Your employees can rest assured that it is very likely that their benefits will improve dramatically. Most small businesses have only dreamt of being able to offer retirement benefits and short-term disability, never mind great medical benefits. Now your employees can expect the same kinds of benefits that their friends at major corporations get to take advantage of. Who wouldn’t want that? Come armed with key points about what they can expect for benefits to your meeting and you will put their minds at ease within minutes and get them thinking about the possibilities instead of the implications.


They will have qualified HR support -Let’s face it, most small business owners are terrible HR managers. Unless your business is in the HR industry, chances are you have not been able to answer a lot of HR related questions or might possibly have handled something incorrectly through a lack of education about ever-changing employment laws.


Your employees will have professional HR support and will have people at your PEO service to deal with when they have questions or need to make changes in their benefits program. Payroll questions can be directed to your PEO, not you. Everyone will be able to rest assured knowing they are getting the right answers the first time and that they are properly supported in their work by people who know how to do it.


This is the best decision for them not just for you -the people who work for you need to know you put their interests ahead of your own. For small business owners who work with PEOs, most of their employees would agree that working with a PEO did just that. Unless your employees have worked with a PEO before, chances are they will want to know that this is in their best interest, not just your efforts to save a buck at their expense.


Be prepared to explain why this change is needed and what your employees can expect to benefit from a PEO service rather than just maintaining the status quo. Instilling trust that you want the best for them will go along way in avoiding a mutiny over misconceptions and misconstrued information. Once everyone realizes what is waiting for them, the conversation should be pretty easy to have.


Making Sure You Get The Right Answers For Co-employment Questions

There is a tremendous amount of information on the Internet about PEOs, Co-employment and HR outsourcing. If you have been doing your homework in this area recently, your head is probably swimming from all the information. Working with a PEO broker like PEO Spectrum can help you make sense of it all in just one phone call. Is co-employment right for you? Only you can decide. Get the right information to ensure you are equipped with enough knowledge to figure that out.

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